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Hingham Institution for Savings

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FY2023 Annual Report · Hingham Institution for Savings
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2023 ANNUAL REPORT

F i n a n c i a l   H i g h l i g h t s

  38.9        50.8         67.5         37.5         26.4

 2.18         2.47         2.83         3.03        2.52

  115.75      137.02     165.52     179.74     188.50

2.40

2.08

1.77

1.58

 19           20           21           22           23

19           20           21           22           23

  19           20           21           22           23

Net Income
($ in millions)

Dividends Declared*
($ per share)

Book Value
($ per share)

2,590      2,857       3,431       4,194       4,484

  1,821       2,139       2,393       2,505       2,350

 2,227       2,495       2,999       3,658       3,914

 19           20           21           22           23

  19           20           21          22           23

 19          20           21           22           23

Assets
($ in millions)

Deposits
($ in millions)

Loans, net
($ in millions)

*Dividends Declared: Dividends declared chart includes the total regular dividends declared (dark shading) and the total dividends declared 

including any special dividends (light shading).

F r o m   t h e   C h a i r m a n   a n d   t h e   P r e s i d e n t

To Our Business Partners:

Although we strive for them, not every year will be an outstanding one.  Over a long time horizon, we 
expect financial results will be excellent in most years, average in some, and challenging in a few.  We 
noted last year in this letter that 2023 would be a challenging year.  It was.

We earned $26.4 million for our owners in 2023, a reflection of significant net interest margin compression 
over the course of the year, owing to our liability sensitive balance sheet and the quick, deep and long 
yield curve inversion.  Our return on average equity of 6.57% and return on average assets of 0.63% were 
well below our long-term performance and our expectations.  Continued strong returns in our investment 
operations sustained us during a period when core returns were not satisfactory.  Net loans increased 
by 7% to $3.914 billion.  Retail and commercial deposits, excluding our wholesale deposits, fell by 2% to 
$1.861 billion.  Book value per share rose 5% in 2023 from $179.74 to $188.50 per share.  This excludes 
capital returned to the owners through regular dividends - we declared $2.52 in dividends per share in 
2023.  The trailing five year compound annual growth rate in book value per share, an important measure 
of long-term value creation, was 13.6%.  In 2023, the efficiency ratio was 57.18% and operating expenses 
as a percentage of average assets fell to 0.67%.  This structural operating leverage allowed us to navigate 
the adverse interest rate environment in 2023 and will benefit us when we emerge from the current period 
of net interest margin compression.

As noted last year, our business generates returns for our owners through the efficient transformation of 
maturity, using deposits and borrowings to fund a loan portfolio composed primarily of real estate loans 
secured by multifamily properties.  During normal economic conditions, the yield curve - a graphical 
representation of interest rates on debt for a range of maturities - has a positive slope and we benefit from 
turning short-term deposits and borrowings into somewhat longer term mortgages. From time to time, for 
reasons beyond the scope of this letter, the yield curve “inverts” and short-term interest rates are higher 
than long-term interest rates.  We are currently in the midst of a significant inversion - the fastest, deepest 
and the longest inversion since the late 1970s - and arguably the longest inversion on record.  Yield curve 
inversions will occur and although they are difficult for our liability sensitive model, they are also ultimately 
temporary and they do not cause us to question our approach. 

Our balance sheet continues to reprice and we have started to see the benefit of anticipated lower funding 
rates - particularly through some of our wholesale funding vehicles - while we gradually benefit from higher 
rates on new loans. We continue to see demand from well-capitalized customers with strong balance 
sheets, looking to make long-term investments in core multifamily properties.  The pace of this transition 
has been slower than we would like and the Bank’s performance with respect to retail and commercial 
deposit growth in 2023 was not consistent with the Bank’s historical performance.  

Having noted the above, the current outlook for short and intermediate term rates is promising and we 
are cautiously optimistic.  Although we have employed certain strategies to reduce our risk in the event 
of additional increases in short-term rates, we see this as a low-probability scenario and we remain 
overwhelmingly liability sensitive.

We emphasized last year that the most dangerous response to short-term challenges is to make changes 
that have long-term consequences.  We will not add incremental risk, either in our lending or investment 
operations, and we will continue to make the appropriate investments to support our long-term objectives 
outlined below.  We have a disciplined underwriting culture - with zero non-performing commercial loans, 
zero classified or criticized commercial loans, and zero losses on commercial lending for over ten years at 
2023 year end.  We have always placed credit risk at the center of our approach.  Given the turbulence in 
the commercial real estate markets, we believe this emphasis continues to be well-placed.

Whether extraordinary or disappointing, we can never lose sight of the fact that results in any given 
year do not fully describe the real accomplishments and progress at Hingham.  Our long-term objective 
is to generate superior returns on equity capital through a disciplined strategy combining a commercial 
real estate lending business with a relationship-focused deposit business serving families, nonprofits, 
real estate investors, and institutions.  We build these businesses slowly - one employee at a time, one 
relationship at a time, one loan at a time - brick by brick. There are no shortcuts.

Let’s review the bricks from 2023.  

Our commercial real estate business grew modestly last year, with growth concentrated in our Boston and 
Washington, D.C. markets.  Despite widespread uncertainty regarding the potential of gateway cities, we 
remain confident that the most attractive markets for our business are dense, coastal cities with favorable 
demographics and concentrations of multifamily real estate.  The demand drivers in these markets, 
combined with the supply constraints stemming from geography and regulation, support consistent asset 
performance over time.

In 2023, we completed our seventh full year of operations in Washington, D.C., with a high-quality 
loan portfolio now exceeding $1.2 billion.  This was paired with strong growth in our deposit business 
after the FDIC approved our branch application for our Georgetown office in June.  This office has the 
lowest cost of funds of any office by a significant measure and Washington presents a significant long-
term opportunity to deploy capital organically.  We intend to expand our retail presence to Washington, 
supporting our commercial banking office, and we are actively evaluating new potential branch locations.  
Our equity investments in Washington, D.C. banks continue to complement our core business operations.

31 Years of
Perf ormance
Assets 
Assets 

Loans, Net 

Loans, Net 

Book Value Per Share

Book Value Per Share

Earnings Per Share (Basic)

Earnings Per Share (Basic)

$

Return on Equity

Return on Equity

Efficiency Ratio

Efficiency Ratio

Bo o k  Valu e  Pe r  Sha re
$7.35

1993*

1993*

1994*

1994*

1995*

1995*

1996*

1996*

1997

1997

1998

1998

1999

1999

2000

2000

2001

2001

2002

2002

2003

2003

2004

2004

2005

2005

2006

2006

2007

2007

2008

2008

2009

2009

2010

2010

2011

2011

2012

2012

2013

2013

2014

2014

2015

2015

2016

2016

2017

2017

2018

2018

2019

2019

2020

2020

2021

2021

2022

2022

2023

2023

$ 147,889

$ 147,889

$ 153,192

$ 153,192

$ 175,409

$ 175,409

$ 201,586

$ 201,586

$ 222,584

$ 222,584

$ 260,076

$ 260,076

$ 291,183

$ 291,183

$ 337,881

$ 337,881

$ 386,181

$ 386,181

$ 426,430

$ 426,430

$ 483,954

$ 483,954

$ 547,051

$ 547,051

$ 628,251

$ 628,251

$ 691,652

$ 691,652

$ 744,602

$ 744,602

$ 806,193

$ 806,193

$ 925,560

$ 925,560

$ 1,017,845

$ 1,017,845

$ 1,127,276

$ 1,127,276

$ 1,205,884

$ 1,205,884

$ 1,356,441

$ 1,356,441

$ 1,552,205

$ 1,552,205

$ 1,768,528

$ 1,768,528

$ 2,014,599

$ 2,014,599

$ 2,284,599

$ 2,284,599

$ 2,408,587

$ 2,408,587

$ 2,590,346

$ 2,590,346

$ 2,857,093

$ 2,857,093

$ 3,431,165

$ 3,431,165

$ 4,193,799

$ 4,193,799

$ 4,483,947

$ 4,483,947

$

$

76,936

7.35

0.10

$

$

$

$ 100,398
76,936

$
$ 100,398

119,472

$

$

7.35

8.24

0.10

1.33

$

$

$

$

8.24

9.17

1.33

0.98

$

$

$

$ 151,166
119,472

$ 151,166

$ 172,839

$ 172,839

$ 204,774

$ 204,774

$ 229,687

$ 229,687

$ 266,568

$ 266,568

$ 282,386

$ 282,386

$ 320,692

$ 320,692

$ 358,778

$ 358,778

$ 415,538

$ 415,538

$ 488,126

$ 488,126

$ 539,104

$ 539,104

$ 593,915

$ 593,915

$ 647,255

$ 647,255

$ 718,242

$ 718,242

$ 792,910

$ 792,910

$ 849,776

$ 849,776

$ 949,662

$ 949,662

$ 1,078,879

$ 1,078,879

$ 1,238,656

$ 1,238,656

$ 1,405,533

$ 1,405,533

$ 1,605,647

$ 1,605,647

$ 1,833,987

$ 1,833,987

$ 2,009,288

$ 2,009,288

$ 2,227,062

$ 2,227,062

$ 2,495,331

$ 2,495,331

$ 2,999,096

$ 2,999,096

$ 3,657,782

$ 3,657,782

$ 3,914,244

$ 3,914,244

$

$

9.17

9.87

0.98

1.05

$

$

$

$

9.87

10.93

1.05

1.36

$

$

$

10.93

12.05

$

1.36

1.53

$

$

$

12.05

12.83

$

1.53

1.65

$

$

$
12.83

14.46

$

1.65

2.07

$

$

$
14.46

16.38

$
2.07

2.49

$

$

$
16.38

18.48

$
2.49

2.91

$

$

$
18.48

19.68

$
2.91

2.58

$

$

$
19.68

21.29

$
2.58

2.80

$

$

$
21.29

23.01

$
2.80

2.95

$

$

$
23.01

24.47

$
2.95

2.19

$

$

$
24.47

25.85

$
2.19

2.12

$

$

$
25.85

28.20

$
2.12

2.96

$

$

28.20

$

30.74

30.74

$

34.24

34.24

$

38.70

$

38.70

43.65

43.65

$

48.49

$

48.49

57.08

$

57.08

64.83

$

75.50

87.29

$

87.29

99.67

$

99.67

115.75

115.75

$

137.02

137.02

$

165.52

165.52

$

179.74

179.74

$

188.50

$

2.96

3.79

$

3.79

4.81

$

4.81

5.68

$

5.68

6.25

$

6.25

6.28

$

6.28

10.46

$

10.46

9.09

$

10.99

12.08

$

12.08

14.25

$

14.25

18.24

$

18.24

23.76

$

23.76

31.50

$

31.50

17.49

$

17.49

12.26

$

$

$

$

$

$

$

$

$

$

$

$

$

$

64.83

$

9.09

$

75.50

10.99

$

$

$

$

$

$

$

$

$

$

$

$

$

$

1.34%

1.34%

17.09%

17.09%

11.11%

11.11%

11.06%

11.06%

13.00%

13.00%

13.18%

13.18%

13.07%

13.07%

15.17%

15.17%

15.95%

15.95%

16.58%

16.58%

13.53%

13.53%

13.56%

13.56%

13.20%

13.20%

9.18%

9.18%

8.40%

8.40%

11.08%

11.08%

12.78%

12.78%

14.67%

14.67%

15.34%

15.34%

15.05%

15.05%

13.52%

13.52%

19.30%

19.30%

14.81%

14.81%

15.59%

15.59%

14.73%

14.73%

14.97%

14.97%

16.82%

16.82%

18.96%

18.96%

20.62%

20.62%

10.01%

10.01%

6.57%

$

$

188.50

12.26

6.57%

108.32%

108.32%

61.46%

61.46%

54.25%

54.25%

53.36%

53.36%

50.10%

50.10%

48.72%

48.72%

50.25%

50.25%

47.78%

47.78%

45.31%

45.31%

45.42%

45.42%

45.55%

45.55%

49.48%

49.48%

48.50%

48.50%

57.58%

57.58%

59.69%

59.69%

52.72%

52.72%

49.20%

49.20%

44.91%

44.91%

42.88%

42.88%

41.54%

41.54%

43.26%

43.26%

37.19%

37.19%

36.32%

36.32%

32.15%

32.15%

30.06%

30.06%

29.89%

29.89%

30.26%

30.26%

25.48%

25.48%

21.31%

21.31%

24.81%

24.81%

57.18%

57.18%

  D o l l a r s   i n   t h o u s a n d s   e x c e p t   p e r   s h a r e   d a t a . 

* P e r   s h a r e   d a t a   f o r   1 9 9 3 ,   1 9 9 4 ,   1 9 9 5   a n d   1 9 9 6   a d j u s t e d   f o r   t h e   3   f o r   2   s t o c k   s p l i t .

(()))()()))())(()))()()))())(()))()()))())(()))()()))())()  ()    ()        ()        ()  ()  ()        ()        ()  ()  ()        ()        )  )  )        )        ()  ()  ()      ()        )  )  )      )        ()  ()  ()      ()        ()  ()  ()      ()        ()  ()  ()      ()        ()  ()  ()      ()        (  (  (      (        (  (  (      (        ()  ()  ()      ()        (  (  (      (        ()  ()  ()      ()        )  )  )      )        (  (  (      (        ))  )      )        ((  (      (        ((  (      (        (((      (        ()()()      ()                    ()()()      ()      (((      (      ()()()      ()      ()()()    ()      ()()()    ()      (((    (      (((    (      (((    (      (()))()()))())(()))()()))())(()))()()))())(()))()()))())()  ()    ()        ()        ()  ()  ()        ()        ()  ()  ()        ()        )  )  )        )        ()  ()  ()      ()        )  )  )      )        ()  ()  ()      ()        ()  ()  ()      ()        ()  ()  ()      ()        ()  ()  ()      ()        (  (  (      (        (  (  (      (        ()  ()  ()      ()        (  (  (      (        ()  ()  ()      ()        )  )  )      )        (  (  (      (        ))  )      )        ((  (      (        ((  (      (        (((      (        ()()()      ()                    ()()()      ()      (((      (      ()()()      ()      ()()()    ()      ()()()    ()      (((    (      (((    (      (((    (      We remain committed to our expansion in San Francisco, as we believe that the Bay Area is a market 
with attractive structural economic drivers, including a vibrant technology sector, physical and regulatory 
limitations on real estate development, links to Asia, and a cluster of research universities that produce the 
intangible assets that are critical components of our economy.  The governance challenges the city faces 
are temporary, surmountable, and there is a growing political consensus in support of addressing them.

provides us with considerable flexibility during periods like this.  This year we focused on ensuring that 
we have well-documented standard work across all of our business and operational processes.  Without 
standards, there can be no improvement.  We cannot adequately emphasize the following - eliminating 
waste at Hingham is not about one-time cost reductions.  It is about the continuous and persistent 
improvement of operational processes that pay small dividends over time.

Book Value Per Share
188.50

In 2023, we completed our third year of operations in the city, with a loan portfolio of approximately 
$120 million.  Deposit growth in San Francisco was stronger in 2023 and we recently added a dedicated 
deposit-focused relationship manager in early 2024. Lending activity was, in contrast, somewhat muted. 
This was likely driven by significantly lower apartment sales volume throughout the year, uncertainty about 
the disposition of several large portfolios of overleveraged small multifamily properties, and the disruption 
caused by the failure of two large Bay Area banks.  We remained actively engaged with customers - 
current and prospective - throughout the year and we believe we will be more active this year.

Our Specialized Deposit Group made progress in some respects in 2023, although deposit growth was 
not consistent with the market opportunities we see.  Our deposit strategy - digital excellence, virtually 
no fees, and personalized service provided by dedicated relationship managers - is compelling.  This 
strategy is executed by relationship managers that work directly with customers and develop new 
business opportunities, digital banking specialists that provide operational support to our customers, and 
a marketing program that places this value proposition in front of customers that can benefit from it.  We 
made progress along all three dimensions in 2023.

The failure of several large banks last year, combined with the pending sale of a respected competitor in 
Boston, creates an enduring opportunity for Hingham.  It reinforces our belief that there is strong, unmet 
demand for a nimble, service-oriented bank in Boston, Washington, and San Francisco.  Since last year, 
we have recruited three talented relationship managers in Boston and San Francisco, all with significant 
experience serving business and nonprofit customers.  We have reconfigured our operational team to 
support larger and more complex business deposit customers, including hiring a new senior specialist for 
this team.  This has been accomplished without any growth in the size of our staff.

If you are a talented senior or mid-level banker in Boston, Washington, or San Francisco, particularly with 
experience in commercial real estate lending or deposit business development, please contact Patrick 
directly by phone or email.  He would like to talk to you and we promise a confidential conversation about 
opportunities at Hingham.

In our investment operations, we grew our partial ownership in a number of outstanding businesses over 
2023, and sold several smaller investments, further concentrating our portfolio.  Management teams, 
working on our behalf, continued to improve these businesses in ways large and small.  Our investments 
remain focused on finance - banks, insurers, payment companies, financial infrastructure providers, 
and ratings agencies.  We also have material investments in technology companies that facilitate 
digital commerce.  We continue to benefit from studying and engaging with management teams at high 
performance companies, both in the banking industry and elsewhere. We recognize that these investment 
results will be volatile over time, but they are a complement to our core business and some of these 
businesses are likely to produce strong returns during periods when our core business may not.

We recognize that the health of our business is ultimately dependent on the health and vitality of the 
cities in which we operate.  Despite the challenging environment, we remain committed to affordable 
housing finance - extending over $150 million in affordable multifamily housing loans in 2023 in Boston 
and Washington, D.C.  Several of these projects were financed in conjunction with the Black Economic 
Development Fund and Amazon’s Housing Equity Fund, combining senior debt from Hingham with low-
cost subordinate financing to preserve affordability.

Our family became associated with the Bank thirty one years ago, when years of mismanagement and 
poor lending threatened its very solvency.  Since then, it has been our objective to build one of America’s 
great banks, characterized by superior long-term financial results, a fortress balance sheet that provides 
unquestionable assurance to our depositors, and an enduring culture of growth and success.  Every year, 
we make progress on that vision.

Very truly yours,

Eliminating waste remains a core strategic objective of the Bank. We must find ways to increase the 
velocity of our operations, maintain our narrow focus, and leverage that focus.  Our operational efficiency 

Robert H. Gaughen Jr.
Chairman of the Board and Chief Executive Officer

Patrick R. Gaughen
President and Chief Operating Officer

1993*

1993*

1994*

1994*

1995*

1995*

1996*

1996*

1997

1997

1998

1998

1999

1999

2000

2000

2001

2001

2002

2002

2003

2003

2004

2004

2005

2005

2006

2006

2007

2007

2008

2008

2009

2009

2010

2010

2011

2011

2012

2012

2013

2013

2014

2014

2015

2015

2016

2016

2017

2017

2018

2018

2019

2019

2020

2020

2021

2021

2022

2022

2023

2023

$ 147,889

$ 147,889

$ 153,192

$ 153,192

$ 175,409

$ 175,409

$ 201,586

$ 201,586

$ 222,584

$ 222,584

$ 260,076

$ 260,076

$ 291,183

$ 291,183

$ 337,881

$ 337,881

$ 386,181

$ 386,181

$ 426,430

$ 426,430

$ 483,954

$ 483,954

$ 547,051

$ 547,051

$ 628,251

$ 628,251

$ 691,652

$ 691,652

$ 744,602

$ 744,602

$ 806,193

$ 806,193

$ 925,560

$ 925,560

$ 1,017,845

$ 1,017,845

$ 1,127,276

$ 1,127,276

$ 1,205,884

$ 1,205,884

$ 1,356,441

$ 1,356,441

$ 1,552,205

$ 1,552,205

$ 1,768,528

$ 1,768,528

$ 2,014,599

$ 2,014,599

$ 2,284,599

$ 2,284,599

$ 2,408,587

$ 2,408,587

$ 2,590,346

$ 2,590,346

$ 2,857,093

$ 2,857,093

$ 3,431,165

$ 3,431,165

$ 4,193,799

$ 4,193,799

$ 4,483,947

$ 4,483,947

76,936

$

76,936

$ 100,398

$ 100,398

$

119,472

$

119,472

$ 151,166

$ 151,166

$ 172,839

$ 172,839

$ 204,774

$ 204,774

$ 229,687

$ 229,687

$ 266,568

$ 266,568

$ 282,386

$ 282,386

$ 320,692

$ 320,692

$ 358,778

$ 358,778

$ 415,538

$ 415,538

$ 488,126

$ 488,126

$ 539,104

$ 539,104

$ 593,915

$ 593,915

$ 647,255

$ 647,255

$ 718,242

$ 718,242

$ 792,910

$ 792,910

$ 849,776

$ 849,776

$ 949,662

$ 949,662

$ 1,078,879

$ 1,078,879

$ 1,238,656

$ 1,238,656

$ 1,405,533

$ 1,405,533

$ 1,605,647

$ 1,605,647

$ 1,833,987

$ 1,833,987

$ 2,009,288

$ 2,009,288

$ 2,227,062

$ 2,227,062

$ 2,495,331

$ 2,495,331

$ 2,999,096

$ 2,999,096

$ 3,657,782

$ 3,657,782

$ 3,914,244

$ 3,914,244

Book Value Per Share

Book Value Per Share

$

7.35

7.35

$

$

8.24

8.24

$

$

9.17

9.17

$

$

9.87

9.87

$

10.93

$

10.93

$

12.05

$

12.05

$

12.83

$

12.83

$

14.46

$

14.46

$

16.38

$

16.38

$

18.48

$

18.48

19.68

$

19.68

$

21.29

$

21.29

$

23.01

$

23.01

24.47

$

24.47

25.85

$

25.85

Earnings Per Share (Basic)

Earnings Per Share (Basic)

$

0.10

0.10

$

$

1.33

1.33

$

$

0.98

0.98

$

$

1.05

1.05

$

$

1.36

1.36

$

$

1.53

1.53

$

$

1.65

1.65

$

$

2.07

2.07

$

$

2.49

2.49

$

$

2.91

2.91

$

2.58

2.58

$

$

2.80

2.80

$

$

2.95

2.95

$

2.19

2.19

$

2.12

2.12

$

$

$

$

$

$

$

$

28.20

$

28.20

$
2.96

2.96

$

$

30.74

$

30.74

$
3.79

3.79

$

$

34.24

$

34.24

$
4.81

4.81

$

$

38.70

$

38.70

$

43.65

$

43.65

$
5.68

5.68

$

$
6.25

6.25

$

$

48.49

$

48.49

$

57.08

$

57.08

$
6.28

6.28

$

10.46

$

10.46

$

$

64.83

$

64.83

$
9.09

9.09

$

$

75.50

$

75.50

$

87.29

$

87.29

$

99.67

$

99.67

$

$
115.75

115.75

$

$
137.02

137.02

$

$
165.52

165.52

$

$
179.74

179.74

$

$
188.50

188.50

10.99

$

10.99

$

12.08

$

12.08

$

14.25

$

14.25

$

18.24

$

18.24

$

23.76

$

23.76

$

31.50

$

31.50

$

17.49

$

17.49

$

12.26

$

12.26

1.34%

1.34%

17.09%

17.09%

11.11%

11.11%

11.06%

11.06%

13.00%

13.00%

13.18%

13.18%

13.07%

13.07%

15.17%

15.17%

15.95%

15.95%

16.58%

16.58%

13.53%

13.53%

13.56%

13.56%

13.20%

13.20%

9.18%

9.18%

8.40%

8.40%

11.08%

11.08%

12.78%

12.78%

14.67%

14.67%

15.34%

15.34%

15.05%

15.05%

13.52%

13.52%

19.30%

19.30%

14.81%

14.81%

15.59%

15.59%

14.73%

14.73%

14.97%

14.97%

16.82%

16.82%

18.96%

18.96%

20.62%

20.62%

10.01%

10.01%

6.57%

6.57%

108.32%

108.32%

61.46%

61.46%

54.25%

54.25%

53.36%

53.36%

50.10%

50.10%

48.72%

48.72%

50.25%

50.25%

47.78%

47.78%

45.31%

45.31%

45.42%

45.42%

45.55%

45.55%

49.48%

49.48%

48.50%

48.50%

57.58%

57.58%

59.69%

59.69%

52.72%

52.72%

49.20%

49.20%

44.91%

44.91%

42.88%

42.88%

41.54%

41.54%

43.26%

43.26%

37.19%

37.19%

36.32%

36.32%

32.15%

32.15%

30.06%

30.06%

29.89%

29.89%

30.26%

30.26%

25.48%

25.48%

21.31%

21.31%

24.81%

24.81%

57.18%

57.18%

Assets 

Assets 

Loans, Net 

Loans, Net 

Return on Equity

Return on Equity

Efficiency Ratio

Efficiency Ratio

$

$

$

(()))()()))())(()))()()))())(()))()()))())(()))()()))())()  ()    ()        ()        ()  ()  ()        ()        ()  ()  ()        ()        )  )  )        )        ()  ()  ()      ()        )  )  )      )        ()  ()  ()      ()        ()  ()  ()      ()        ()  ()  ()      ()        ()  ()  ()      ()        (  (  (      (        (  (  (      (        ()  ()  ()      ()        (  (  (      (        ()  ()  ()      ()        )  )  )      )        (  (  (      (        ))  )      )        ((  (      (        ((  (      (        (((      (        ()()()      ()                    ()()()      ()      (((      (      ()()()      ()      ()()()    ()      ()()()    ()      (((    (      (((    (      (((    (      (()))()()))())(()))()()))())(()))()()))())(()))()()))())()  ()    ()        ()        ()  ()  ()        ()        ()  ()  ()        ()        )  )  )        )        ()  ()  ()      ()        )  )  )      )        ()  ()  ()      ()        ()  ()  ()      ()        ()  ()  ()      ()        ()  ()  ()      ()        (  (  (      (        (  (  (      (        ()  ()  ()      ()        (  (  (      (        ()  ()  ()      ()        )  )  )      )        (  (  (      (        ))  )      )        ((  (      (        ((  (      (        (((      (        ()()()      ()                    ()()()      ()      (((      (      ()()()      ()      ()()()    ()      ()()()    ()      (((    (      (((    (      (((    (      Boys & Girls Clubs of Dorchester
Dorchester, MA
Pictured Left to Right: Michael Gattoni - Chief Financial Officer
Bob Scannell - President & CEO

Boys & Girls Clubs of Dorchester is a premier non-profit organization with three clubhouses in 

Dorchester, MA. The Club offers over 4,000 youth a safe and supportive environment to learn, 

grow, and have fun. With guidance from caring professionals and peers, kids improve their 

academic performance, self-esteem, and social skills with over 200 available programs.

Boys & Girls Clubs of Dorchester was looking to secure its assets by diversifying its banking 

relationships. During the selection process, it was important to the team to choose a bank 

with proven stability during times of uncertainty. They chose Hingham Institution for Savings 

for its strong track record of financial stability and full deposit insurance through the FDIC 

and DIF.

“We feel that Hingham was the perfect choice for our 

organization and are confident that our funds are safe and 

secure. Their customer service is second to none.”

                         Michael Gattoni

  Chief Financial Officer

 
 
 
 
Melrose Solomon
Alexandria, VA
Pictured Left to Right: Jeff Steinberg - Vice President of Acquisitions 
Lawrence Solomon - Principal, Jaime Hartman - Investment Committee  
Ezra Tuchman - Investment Committee, Kathy Bowden - Administration

“We look for reliable, high quality service and a consistent 

process  with  all  of  our  partners.  The  team  at  Hingham 

executed flawlessly and we hope this is the first of many 

deals together.”

                    Lawrence Solomon 

     Principal

Melrose  Solomon  is  a  real  estate  investment  firm  with  office,  retail  and  industrial 

properties in the Midwest, Mid-Atlantic, and Southeast. With a disciplined value buying 

strategy, they have built their real estate portfolio to over 2 million square feet over the 

last decade.

Larry  Solomon  was  first  introduced  to  Hingham  Institution  for  Savings  when  he  was 

considering acquiring a unique office property in Alexandria, VA.  The team was attracted 

to Hingham’s willingness to underwrite the property thoughtfully in an environment in 

which financing for office properties has become more difficult. Hingham’s competitive 

rates, accessible commercial lenders, and new office in Georgetown were additional 

motivating reasons to work together.

 
      
 
Phyllis Bodel Childcare Center 
At Yale School of Medicine
New Haven, CT
Pictured left to right: Kyle Miller - Executive Director, June Marcucio - Business Manager

The Phyllis Bodel Childcare Center cares for the children of faculty, postdoctoral

fellows and students of the Yale School of Medicine in New Haven, CT. With over 15 

classrooms of children ranging from six weeks old up to pre-kindergarten, the Center 

provides a high quality and supportive environment in which each child can develop 

and grow.

The team at the Childcare Center had an account at a national bank with a problematic 

online  banking  platform  and  low  deposit  rates  -  something  had  to  change.  With 

Hingham, they found personalized support from a relationship manager, competitive 

rates, and a reliable online banking experience.

“Hingham’s support of the local community aligns with 
“Working with Hingham is like having a partner in success 

the USES’ mission. We value our partnership with the 
- even though we are not near a branch, they might as well 

Bank.”

be next door to us. They make banking refreshingly easy.”

MACHARIA Z. WEIR LYTLE

                        Kyle Miller
                        Executive Director

 
GreyBrick Partners
San Francisco, CA
Pictured: Ryan Taylor - Managing Partner

“Hingham was our safety net during a stressful time. With 

over 185 years of proven stability, we have peace of mind 

knowing how thoughtfully the bank is operated.” 

                         Ryan Taylor
                        Managing Partner

GreyBrick Partners is a value-add focused real estate investment firm headquartered in 

San Francisco, CA. GreyBrick Partners have acquired over 39 assets in the last twelve 

years and manage over $250 million of investment properties located in California and 

Washington State.

The  team  at  GreyBrick,  like  so  many  others,  had  to  act  swiftly  during  recent  bank 

failures. With a strong focus on security, they found Hingham’s stable history, deposit 

insurance, and conservative lending practices compelling factors to move their banking 

relationship.  Beyond  that,  they’ve  appreciated  the  opportunity  to  build  a  relationship 

with the Hingham team, ensuring that they’re backed by people that truly care about 

their business.

Public Employees for Environmental 
Responsibility (PEER)
Silver Springs, MD
Pictured: Tim Whitehouse - Executive Director

PEER  supports  and  protects  public  employees  who  seek  a  higher  standard  of 

accountability  and  environmental  protection  within  their  agencies.  The  team  works 

with  every  state  and  operates  specifically  in  areas  regarding  scientific  integrity 

complaints, climate integrity, conserving public lands, and toxins.

Originally interested in Hingham’s competitive savings rates, PEER also found that 

Hingham took the complexity out of banking, especially when it came to processing 

donor gifts. Even though most of its banking needs are met with self-serve solutions, 

the team appreciates being able to get a person on the phone quickly when needed.

“Hingham’s support of the local community aligns with 

“Our team and Hingham’s team are both driven by 

the USES’ mission. We value our partnership with the 
upholding high standards - their dedication to customers 

Bank.”

keeps our organization running efficiently.”

MACHARIA Z. WEIR LYTLE

Tim Whitehouse

  Director

 
 
 
 
10 MX
Roxbury, MA
Pictured left to right: John Sullivan - Principal, Second Street properties 
Jacob Vance -  Principal, Second Street properties 
Yonathan (Tani) Halperin - Founder and Partner, Trax Development 
Dartagnan Brown - Founder and Partner, Trax Development

“It’s easy to work with Hingham - they work as quickly as 

we do and when it comes down to terms, they’re simply 

the best.”

                      John Sullivan

        Principal

10  MX  Owner,  LLC  is  a  joint  venture  between  Second  Street  Properties  and  Trax 

Development.  Together,  they  are  focused  on  redeveloping  Nubian  Square,  a  fast-

changing and transit-oriented neighborhood in Roxbury, MA that has been historically 

neglected. In coordination with the Boston Planning & Development Agency, they are 

planning to build two new multifamily buildings on an underutilized site, while preserving 

a  mixed-use  building  that  is  an  important  source  of  jobs  in  the  neighborhood.    The 

project  will  ultimately  add  a  mix  of  over  100  new  affordable  and  market-rate  units  to 

Nubian Square.

When the team needed financing, they found Hingham’s terms the most competitive. 

Throughout the loan process and with the subsequent deposit relationship, they have 

become more familiar with the Bank and value the approach that helps them keep their 

project moving forward.

 
 
 
 
S e l e c t e d   F i n a n c i a l   D a t a

B o a r d   o f   D i r e c t o r s

Standing (left to right): 

Seated (left to right): 

Ronald D. Falcione

Robert A. Lane, Esq.

Michael J. Desmond

Scott L. Moser

Howard M. Berger, Esq.

Jacqueline M. Youngworth

Robert H. Gaughen, Jr., Esq.

Kara Gaughen Smith 

Geoffrey C. Wilkinson, Sr.

Robert K. Sheridan, Esq.

Brian T. Kenner, Esq.

Julio R. Hernando, Esq.

Stacey M. Page

Kevin W. Gaughen, Jr., Esq.

Patrick R. Gaughen

S t o c k h o l d e r   I n f o r m a t i o n

Stock Data
Hingham  Institution  for  Savings’  common  shares  are 

listed and traded on The Nasdaq Stock Market under the 

symbol HIFS.

As of December 31, 2023, there were approximately 183

stockholders of record, holding 71,122 outstanding

shares of common stock. These shares do not include the

number of persons who hold their shares in nominee or

street name through various brokerage firms.

The  following  table  presents  the  quarterly  high  and  low 

prices for the Bank’s common stock reported by Nasdaq.

High 

Low

2023
First Quarter  

Second Quarter  

Third Quarter  

Fourth Quarter  

2022
First Quarter  

Second Quarter  

Third Quarter  

Fourth Quarter  

$ 311.18 

235.76 

229.99 

206.00 

$ 432.19 

348.59 

335.53 

297.90 

$  223.00 

173.51

181.00

147.00

$  340.00

270.50

250.00

242.99

The  closing  sale  price  of  the  Bank’s  common  stock  at 

December 31, 2023 was $194.40 per share.

Hingham Institution for Savings
55 Main Street

Hingham, MA 02043

(781) 749-2200

Chairman and

Chief Executive Officer
Robert H. Gaughen, Jr.

Investor Inquiries
Patrick R. Gaughen

President and Chief Operating Officer

Transfer Agent and Registrar
Computershare

P.O. Box 43006 

Providence, RI 02940

(800) 288-9541

Online Registered Shareholder Access
www.computershare.com/investor

Independent Registered Public Accounting Firm
Wolf & Company, P.C.

255 State Street

Boston, MA 02109

Special Counsel
Goodwin Procter

100 Northern Avenue

Boston, MA 02210

Form 10-K and Proxy Statement
A  copy  of  the  Bank’s  Annual  Report  on  Form  10-K  and 

Proxy  Statement  for  the  fiscal  year  ended  December 

31,  2023  as  filed  with  the  Federal  Deposit  Insurance 

Corporation,  may  be  obtained  without  charge  by 

any  stockholder  of  the  Bank  upon  written  request 

addressed 

to 

the 

Investor  Relations  Department. 

Additionally,  the  Bank’s  Annual  Report  on  Form  10-K 

and  the  Proxy  Statement  are  available  electronically  at   

www.hinghamsavings.com/investor-materials.

 
 
BOSTON
COHASSET

HINGHAM

HULL

NANTUCKET

WASHINGTON, D.C.

SAN FRANCISCO

www.hinghamsavings.com

Member FDIC/Member DIF    |    Equal Housing Lender